Senate Study Bill 3080 - Introduced SENATE FILE _____ BY (PROPOSED COMMITTEE ON WAYS AND MEANS BILL BY CHAIRPERSON BOLKCOM) A BILL FOR An Act increasing the amount of tax credits that may be 1 claimed annually for the solar energy system tax credits and 2 including effective date and applicability provisions. 3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 4 TLSB 5385XC (4) 86 mm/sc
S.F. _____ Section 1. Section 422.11L, subsection 4, paragraph a, Code 1 2016, is amended to read as follows: 2 a. The cumulative value of tax credits claimed annually 3 by applicants pursuant to this section shall not exceed five 4 seven million five hundred thousand dollars. Of this amount, 5 at least one million five hundred thousand dollars shall 6 be reserved for claims associated with or resulting from 7 residential solar energy system installations. In the event 8 that the total amount of claims submitted for residential solar 9 energy system installations in a tax year is an amount less 10 than one million five hundred thousand dollars, the remaining 11 unclaimed reserved amount shall be made available for claims 12 associated with or resulting from nonresidential solar energy 13 system installations received for the tax year. 14 Sec. 2. EFFECTIVE DATE. This Act takes effect January 1, 15 2017. 16 Sec. 3. APPLICABILITY. This Act applies to tax years 17 beginning on or after January 1, 2017. 18 EXPLANATION 19 The inclusion of this explanation does not constitute agreement with 20 the explanation’s substance by the members of the general assembly. 21 This bill increases to $7.5 million from $5 million the 22 amount of solar energy system tax credits that may be claimed 23 annually. The bill also increases to $1.5 million from $1 24 million the amount of annual tax credits reserved for claims 25 associated with or resulting from residential solar energy 26 system installations. 27 The solar energy system tax credits are available for 28 qualifying residential and business solar installations and are 29 calculated as percentage of the related federal solar energy 30 tax credits. 31 The bill takes effect January 1, 2017, and applies to tax 32 years beginning on or after that date. 33 -1- LSB 5385XC (4) 86 mm/sc 1/ 1